Property Management

A property manager's agreement with an owner is a type of agency relationship. The property manager owes the owner all of the following EXCEPT:

ALoyalty
BObedience to lawful instructions
CConfidentiality
DGuaranteed positive cash flow✓ Correct

Explanation

A property manager acting as agent owes the owner fiduciary duties including loyalty, obedience to lawful instructions, confidentiality, disclosure, accounting, and reasonable care. However, a property manager cannot guarantee positive cash flow—market conditions, vacancies, and unexpected expenses can result in losses, and these are not within the manager's fiduciary duties to guarantee.

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